The HSA Authority Insights

DISCLAIMER: This communication is not intended as legal or tax advice. The materials contain only a partial, general description of the benefits of Health Savings Accounts. The information is believed to be accurate as of the production date; however, Federal and state laws and regulations are subject to change. Please contact a competent legal or tax professional for personal advice on eligibility, tax treatment and restrictions.

Video Transcript

Now that your HSA from The HSA Authority at Old National Bank is open and active, you, or an authorized signer, are ready to use those tax-free funds for any qualifying medical expenses. The important word here is “qualifying.” If you take distribution for anything other than qualified medical expenses, you could be subject to IRS tax, plus, a 20% penalty. That's not good. That penalty could be waived, however, if the account owner is 65 or older, or due to death or disability. Just be sure your expenses meet qualifications. And, if you're not sure, go to TheHSAauthority.com for answers.

Remember, these funds are available not only to you, but also your spouse and your dependents. And, it doesn't matter what kind of health insurance other family members may have. They don't HAVE to be covered under your HDHP – High Deductible Health Plan.

The IRS also understands that a child's parents may not be married. And, even though only one parent can claim the child as a dependent, you can still use your HSA for your dependent-aged child.

Paying for your qualified expenses – including medical, dental and vision expenses – is easy. Pay by check, debit card, ATM, online bill payment, account-to-account transfer, or, if you still like that personal touch, come into one of our banking centers and make an in-person request. And the great thing is, if you have to pay with money outside your HSA, say your personal checking account or credit card, you can reimburse yourself from your HSA. And, there's no time limit on your reimbursement. Reimburse yourself the next month...next year...20 years from now – no problem.

Of course, all medical expenses must occur AFTER the HSA is open and active, and YOU are ultimately responsible for keeping receipts for all of your distributions. The bank doesn't monitor how funds are spent, so be sure to keep those receipts.

If you have any more questions about your awesome HSA, just go to TheHSAauthority.com.